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Stormy Weather has no attractive investment opportunities. Its return on equity equals the discount rate, which is 10%. Its expected earnings this year are $3
Stormy Weather has no attractive investment opportunities. Its return on equity equals the discount rate, which is 10%. Its expected earnings this year are $3 per share. Find the stock price, P/E ratio, and growth rate of dividends for plowback ratios of(Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations. Round "Growth Rate of Dividends" to 1 decimal place.) |
Plowback Ratios | Stock Price | P/E Ratio | Growth Rate of Dividends | |
a. | zero | $ | % | |
b. | 0.60 | % | ||
c. | 0.80 | % |
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